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Macroeconomics

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Underemployment Causes

MACRO-H2QDGR

Which of the following situations will cause underemployment, but not necessarily change observed unemployment? Select ALL correct responses.

A

A significant number of skilled workers are employed in low-skill jobs.

B

A significant number of workers are working 25 hours per week, but would prefer to be working 40 hours per week.

C

A significant number of unemployed workers have left the workforce because they are "discouraged" and believe finding a job is impossible.

D

A significant number of firms are retaining unproductive workers and allowing them to put in low levels of effort while on the job.